How much does a car insurance producer bond cost in Maryland?
The Maryland Automobile Insurance Fund requires producers to submit a surety bond in the amount of $10,000.
SuretyBonds.com issues these bonds instantly for just $100. Simply click Buy Now to purchase your bond online via our secure bond checkout. In just a few minutes you can be on your way to getting your automobile insurance fund producer bond in Maryland.
|Bond Type||Bond Amount||Cost|
|$10,000 Automobile Insurance Fund Producer Bond||$10,000||$100|
Why do I need this bond?
The Maryland Automobile Insurance Fund (MAIF) was founded by the Maryland State Legislature in 1972 and provides automobile liability insurance for Maryland residents who are unable to otherwise obtain any.
An insurance producer’s bond is an important step in the licensing process to become a MAIF producer. This bond allows the state or customers to file a claim against the principal (producer) in the case of financial loss due to the producer’s negligence or faulty business practices.
What’s the fine print?
Anyone who wants to be a licensed insurance producer for the MAIF is required to obtain a Maryland auto insurance provider bond. These bonds are continuous until canceled, and the surety must give the state 30 days’ notice prior to cancellation.
How to become an automobile insurance fund producer in Maryland
In order for the Automobile Insurance Fund to consider an application, the following materials must be furnished by the applicant:
- Agency name and legal trade name, if applicable
- Addresses of all offices and branches
- Tax identification number
- Principal contact information including name, date of birth, address, social security number, and title
- Companies represented
- Surety bond
- Certificate of good standing
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